5 Nov 2013
AUD/JPY succumbs to 93.30 session lows; 53 pips down
FXstreet.com (Chicago) - AUD/JPY can’t bear downward pressure and succumbs more than 50 pips shortly after the yen strengthens ahead of Kuroda’s speech and after the Nikkei went from +0.60% to the negatives.
AUD/JPY Technical Levels
Technically speaking, the pair is offered at 93.32 and oscillates between the supports aligned at 92.63 (October 7th lows), 92 (October 4th highs) ahead of 91 (October 28th lows) and the resistances set at 93.87 (November 4th highs), 94.34 (September 18th highs) followed by 94.97 (October 21st highs). Price action reveals a strong drop from session highs on yen’s strengthening potentially due to the Nikkei’s extreme volatility with negative correlation with the currency. Breaking the short-term upward trendline that had started last Friday, the pair also falls below the EMA20. Primary and secondary trends diverge with the latter pointing up. According to the FXstreet.com trend index, the pair is slightly bearish on one-hour timeframe analysis and flows below the EMA20.
AUD/JPY Technical Levels
Technically speaking, the pair is offered at 93.32 and oscillates between the supports aligned at 92.63 (October 7th lows), 92 (October 4th highs) ahead of 91 (October 28th lows) and the resistances set at 93.87 (November 4th highs), 94.34 (September 18th highs) followed by 94.97 (October 21st highs). Price action reveals a strong drop from session highs on yen’s strengthening potentially due to the Nikkei’s extreme volatility with negative correlation with the currency. Breaking the short-term upward trendline that had started last Friday, the pair also falls below the EMA20. Primary and secondary trends diverge with the latter pointing up. According to the FXstreet.com trend index, the pair is slightly bearish on one-hour timeframe analysis and flows below the EMA20.